Elixium, the leading global all-to-all secured financing and collateral marketplace, unlocks liquidity, creates efficiencies and improves returns in the secured financing market by allowing participants to view and execute directly with each other in a regulated MTF/ATS environment.
Elixium was developed as a response to changes in the regulatory environment (that have taken place and will continue over the next few years), that have created an inexorable shift towards greater transparency, best price execution and equilibrium of access to markets.
This combined with reduced intermediation capacity in the traditional Repo market and an increased demand for collateral optimisation, has led to market participants looking for an alternative way to access the Repo market.
Elixium is open to all participants including: corporate treasuries, CCPs, asset managers, hedge funds, banks, government issuers, central banks, insurers, sovereign wealth funds and agencies. Elixium utilises a user-friendly, modular, approach to legal documentation and a unique credit limit framework where participants retain full control, in real time, over the products and firms with whom they are willing to trade.
By facilitating the flow of cash to collateral, and vice-versa, Elixium addresses the impact of regulation, balance sheet pressure and deteriorating liquidity in the Repo market for traditional market participants. Elixium also allows counterparties that previously may not have been engaged in secured financing activity to access the Repo market.
Elixium is collaborating with:
Execution trading protocols
- Auction, using standard collateral baskets and a fixed (independently derived) rate
- CLOB (Central limit order book) enabling transparent and unbiased price discovery
- Collateral Transformation, which will enable participants to swap collateral credit in exchange for a fee
- Request for Quote (RFQ) will enable users to access liquidity providers based on ISIN and maturity
- Elixium also supports evergreen transactions and interest rate risk neutral transactions
- A transparent, unbiased, regulated, all-to-all marketplace
- Rapid growth and diversity of counterparty base and access to new supplies of cash and collateral
- Specific trading solutions to facilitate implementation of certain strategies
- An efficient conduit to raise/invest cash/collateral on a secured basis to manage margin and cash-flow and to demonstrate “best price execution”
- Accelerated counterparty on-boarding
- Tri-party, cleared and domestic settlement methodology
- Pre-trade anonymity in a regulated/multi-centre environment with a robust credit framework
- Collateral transformation functionality for HQLA with NSFR (Net Stable Funding Ratio) and LCR (Liquidity Coverage Ratio) benefits
- Full compliance with SFT's order record keeping requirements under MiFID II (records kept for 7 years)